Answering those questions and more, Robert Dagge, Managing Director at Dynistics, tackles the term in the latest Tech Express.
CBR: What is Gamification?
RD: In business, Gamification is the process by which you use game theory, visualisation or methodology to enhance processes within the business. Typically, gamification is used across marketing, sales and customer services, but can be used right across the business. Gamification is about using natural instinct to drive and change current behaviour.
This is usually displayed in engaging yet simple visuals that will appeal to the users and increase its “stickiness”.
CBR: What are the benefits to businesses using Gamification?
RD: Used correctly, Gamification can significantly increase sales, customer satisfaction, customer engagement, retention, as well as reduce cost, loss of productivity, staff churn or reduce the activity cycle of a given process.
Gamification can be used in one on one situations, or where you challenge teams, office, divisions, or even international offices against each other. We have seen this done very effectively with organisations that have multiple location teams wanting to “beat” the team that is top of the usual dashboard.
CBR: How can you successfully implement Gamification?
RD: Gamification can be used right across the business, but this doesn’t mean that it should be. The ability to influence people processes within an organisation, can and should lead to process redesign to drive the organisation to better productivity. The “old” mind-set that Gamification would only be suitable to sales and customer services is outdated and short-sighted.
Adoption of Gamification will differ from industry to industry, it will really depend on the strategy of the organisation and what their specific goals are. We recently heard of two of our clients in the US that use Gamification within their Dashboards, where they localised the game. It was as simple as using local drivers, 1) NASCAR teams in the South of the country and NHL in the far North of the USA.
CBR: How do you know if it’s working?
RD: There will be significant and demonstrable results if Gamification is implemented correctly. These results will need to be benchmarked against the original project specification to determine just how successful the project has been. Again, making sure that the project is properly managed is paramount to its success.
Results can manifest themselves in many ways. They can show up in a direct increase of Revenue or cost saving, but also in marketing and customer services you can see a direct correlation in an increase in Net Promotor Scores, or switching channels of engagement.
CBR: When should you not use Gamification?
RD: There are a number of times that you may choose not to use Gamification. We are seeing the pace of adoption is increasing significantly. With more and more people aware of the benefits to the business, Gamification is now starting to get airtime within the boardroom, even if it isn’t truly understood.
Gamification is best used when human interaction is a necessity within any given process. This is evident with a higher level of adoption within sales teams, customer services and marketing teams outstripping the likes of IT and finance. This doesn’t mean there isn’t a place for Gamification with these parts of the business, it is just that the benefits are not yet widely acknowledged.
As with all new projects, as much real time visibility of the data is critical. Active Dashboards enable organisations to make real time decisions based on the data that is presented, therefore empowering the team to make informed judgements on what needs to happen within the business.